Shares of Tidewater (TDW) tumbled 6.55% in after-hours trading on Monday following the release of its third-quarter 2025 financial results. The offshore vessel operator reported a net loss, despite a slight increase in revenue, as the company grappled with the impact of early debt extinguishment.

Tidewater announced Q3 revenue of $341.1 million, a marginal 0.2% increase compared to the same period in 2024. However, the company reported a net loss of $1.018 million for the quarter. The disappointing bottom line was largely attributed to a significant $27.1 million loss on early extinguishment of debt related to its July 2025 refinancing. This one-time charge overshadowed the company's operating income of $62.651 million and pretax profit of $20.693 million for the quarter.

Adding to investor concerns, Tidewater updated its 2025 revenue guidance to a range of $1.33 to $1.35 billion, with a gross margin forecast of 49% to 50%. The company also introduced its 2026 revenue guidance of $1.32 to $1.37 billion, with an expected gross margin between 48% and 50%. While the company highlighted improved vessel up-time and day rate increases in certain segments, the market's negative reaction suggests that investors may have been expecting more robust growth projections or were disappointed by the impact of the debt refinancing on the company's near-term profitability.